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As a general rule, class action lawsuits involve a band of people in some capacity: A collective class, formed together over the issue of a faulty product, suing a defendant, or a group of defendants, multiple negligent companies, for instance, being sued by or persons. While more class action lawsuits are filed on behalf of product liability claims, other case types also conclude in court, too, including groups of shareholders suing for corporate fraud, workers, and residents over environmental disasters.

Each case, which can be filed in either state or federal court, class action lawsuits has its benefits. Because a limited number of witnesses overlap, the trial process understandably moves along more efficiently, while the cost of litigation tends to be lower than for individual plaintiffs filing alone.

Additionally, these types of cases also tend to have drawbacks. Before the class action even moves forward, the prosecuting group must be named as a class. Federal courts, as well, can dismiss class action lawsuits if the defendants are state governments or officials or if the plaintiffs number less than {one hundred,100.